AT&T has confirmed that they will be increasing the monthly rate for mobile insurance starting October 4. The company currently charges $4.99 per month plus a non-refundable deductible for replacement claims.

The new insurance policy will carry a monthly $7.99 premium in addition to the non-refundable deductible. There are three deductible tiers based on the hardware you have. Tier 1 items costs $50 to replace, Tier 2 charges $125 and Tier 3 will set you back $199. AT&T has posted a list of all eligible devices and their deductible pricing, although it’s interesting to note there aren’t any Tier 3 products in the list.

AT&T says you can expect to have your device replaced by the next business day in most cases. Coverage includes protection against loss, theft, accidental damage and out-of-warranty malfunctions. Claims will be fulfilled with a new or remanufactured device. Users can cancel anytime and receive a prorated refund of unused premium.

9to5Mac first reported on this story back in July when they received an internal memo from AT&T noting the rate hike scheduled for October 4. The iPhone is specifically mentioned in the memo which predates next Tuesday’s Apple iPhone media event by two and a half months.

It could be sheer coincidence that AT&T picked a date so far out, but not likely. As a key launch partner in the US, Apple likely gave AT&T a heads-up notice about the next iPhone launch months in advance.